Sat Nov 30 03:48:01 UTC 2024: ## ED Attaches ₹5.34 Crore in Assets from Private Medical Colleges in PG Seat Scam

**Hyderabad, November 30, 2024** – The Enforcement Directorate (ED) Hyderabad has provisionally attached assets worth ₹5.34 crore belonging to private medical colleges in Telangana. The attachment, made under the Prevention of Money Laundering Act (PMLA), 2002, stems from an ongoing investigation into a scam involving the fraudulent blocking of postgraduate (PG) medical seats.

The investigation was initiated based on a First Information Report (FIR) filed by the Matwada Police Station in Warangal, following a complaint from the Registrar of Kaloji Narayana Rao University of Health Sciences (KNRUHS). The complaint alleges that private medical colleges, in collusion with consultants and middlemen, illegally blocked PG seats using the certificates of high-ranking students. These seats were then released as “stray vacancies” after the counselling process, allowing the colleges to charge significantly inflated fees—up to three times the regular fees—and, in some cases, additional capitation fees in cash.

The ED’s action targeted Chalmeda Ananda Rao Institute of Medical Sciences (₹3.33 crore) and MNR Medical College (₹2.01 crore). This brings the total value of assets seized, frozen, or attached in this case to ₹9.71 crore, including previously seized ₹1.475 crore in cash and frozen bank balances worth ₹2.89 crore from Malla Reddy Institute of Medical Sciences. The ED considers the excess fees and capitation fees as “Proceeds of Crime.” The investigation is ongoing.

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